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Karnataka moves to prioritize local hiring in private sector, Cabinet approves 100% reservation

According to the bill, all private companies operating in Karnataka are required to assign all of their Group C and D positions to Kannadigas.

A bill requiring 100% Kannadiga reservation for Group C and D posts in the private sector has been passed by the Karnataka cabinet. Karnataka moves to prioritize residents with priority employment in the private sectors of the state economy, especially in entry-level jobs. To fulfill the long-standing demand for Kannadiga job reservations, the state government will present the measure during the current legislative session

According to the bill, all private companies operating in Karnataka are required to assign all of their Group C and D positions to Kannadigas. Group C postings pay between Rs 25,000 and Rs 40,000 per month for jobs including clerks, lab technicians, and pharmacists. Semi-skilled and unskilled positions are included in Group D posts.

A person must have been a resident of Karnataka for at least 15 years and be a native of the state to be eligible as a local candidate. They must also be fluent in Kannada, with the ability to read, write, and speak the language. If they lack a secondary school diploma in Kannada, they will need to clear a Kannada proficiency exam administered by a government-approved nodal organization.

Quota System in Private Sector Jobs

According to the bill, local candidates must be given preference for 50% of management posts and 75% of non-management jobs in factories, industries, and other institutions. However, a business or establishment may request a reduction of the quota criteria if it is unable to recruit enough eligible local candidates.

Karnataka Moves to Prioritize
Image Source: Livelaw

After conducting an investigation, the government may provide the necessary exemptions. The local candidate quota, however, must not drop below 25% for management posts and 50% for non-management categories, even with exceptions. Businesses who disregard the bill’s provisions risk fines of between Rs 10,000 and Rs 25,000. In addition, there would be a daily punishment of Rs 100 until the bill’s local employer count is met.

In Karnataka, the need for Kannadiga job reservations has always existed. Kannada groups recently staged protests calling for the quick adoption of the Sarojini Mahishi report, which suggested setting aside a certain percentage of jobs in the public and private sectors for natives. The 1984 study had 58 suggestions, one of which was to reserve all group C and D posts in Union government departments and public sector enterprises functioning in Karnataka for local people.

Historical Context and Legislative Background

Some states, like Andhra Pradesh and Jharkhand, have passed legislation along similar lines. The Haryana State Employment of Local Candidates Act, 2020, which required 75% reservation for state domiciles in private sector positions with monthly salary under Rs 30,000, was invalidated by the Punjab and Haryana High Court.

The court determined that by preventing private employers from hiring people directly from the open market, the Act went beyond the State’s legislative authority and infringed upon the equality protections found in the constitution.

It is believed that passing this bill will go a long way toward guaranteeing Kannadigas equal chances in the commercial sector. The welfare of Kannadigas and ensuring that they are not denied employment within their state are the top priorities of the state government, according to Chief Minister Siddaramaiah. The purpose of the measure is to rectify the alleged unequal distribution of jobs, whereby applicants from other states frequently hold employment in the private sector.

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